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Business Segments and Geographic Information
 3 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
Business Segments and Geographic Information
12.
Business Segments and Geographic Information

Beginning January 1, 2026, the Company reports its operations through two reportable segments: Talent and Data & AI. This change reflects a realignment of the Company’s internal management and reporting structure under its operating strategy, whereby the Chief Operating Decision Maker evaluates operating performance and allocates resources based on these two segments. Prior-period segment information has been recast to conform to the current presentation.

The Data & AI segment consists of direct client engagements that are managed as services-led accounts. These offerings include data management and analytics, digital transformation consulting, AI and Industry Solutions, staffing to direct customers, data engineering and IT services, and managed services. Engagements are typically project-based and may be structured as time-and-material or fixed-price arrangements and delivered using a combination of on-site and offshore resources.

The Talent segment consists of staffing engagements that provide clients with access to skilled technology professionals across a broad range of digital and mainstream IT disciplines. These engagements include both intermediated arrangements through managed service providers and system integrators that are managed as staffing-only engagements. Substantially all revenue within this segment is recognized over time as services are performed, generally based on hours worked

 

 

Three Months Ended
March 31,

 

 

2026

 

 

2025

 

 

(Amounts in thousands)

 

Revenues:

 

 

 

 

 

 

Data & AI

 

$

12,584

 

 

$

15,997

 

Talent

 

 

28,499

 

 

 

32,320

 

Total revenues

 

$

41,083

 

 

$

48,317

 

Cost of Revenues:

 

 

 

 

 

 

Data & AI

 

$

7,900

 

 

$

9,963

 

Talent

 

 

22,158

 

 

 

25,462

 

Total cost of revenues1

 

$

30,058

 

 

$

35,425

 

Gross Profit:

 

 

 

 

 

 

Data & AI

 

$

4,684

 

 

$

6,034

 

Talent

 

 

6,341

 

 

 

6,858

 

Total gross profit1

 

$

11,025

 

 

$

12,892

 

Gross Margin %:

 

 

 

 

 

 

Data & AI

 

 

37.2

%

 

 

37.7

%

Talent

 

 

22.2

%

 

 

21.2

%

Total gross margin %1

 

 

26.8

%

 

 

26.7

%

Sales & Marketing Expenses:

 

 

 

 

 

 

Data & AI

 

$

1,898

 

 

$

2,469

 

Talent

 

 

935

 

 

 

1,832

 

Total sales & marketing expenses

 

$

2,833

 

 

$

4,301

 

 

 

 

Three Months Ended
March 31,

 

 

2026

 

 

2025

 

 

(Amounts in thousands)

 

Operations Expenses:

 

 

 

 

 

 

Data & AI

 

$

805

 

 

$

478

 

Talent

 

 

951

 

 

 

1,741

 

Total operations expenses

 

$

1,756

 

 

$

2,219

 

General & Administrative Expenses:

 

 

 

 

 

 

Data & AI

 

$

2,429

 

 

$

2,815

 

Talent

 

 

3,354

 

 

 

3,351

 

Total general & administrative expenses

 

$

5,783

 

 

$

6,166

 

Segment operating income (loss):

 

 

 

 

 

 

Data & AI

 

$

(448

)

 

$

272

 

Talent

 

 

1,101

 

 

 

(66

)

Subtotal

 

 

653

 

 

 

206

 

Unallocated Cost:

 

 

 

 

 

 

Amortization of acquired intangible assets

 

$

(603

)

 

$

(650

)

Severance expense

 

 

—

 

 

 

(1,409

)

Interest income (expense), FX, gains (losses)
   and other, net

 

 

607

 

 

 

91

 

Income (loss) before income taxes

 

$

657

 

 

$

(1,762

)

 

 

Below is geographic information related to our revenues from external customers:

 

 

Three Months Ended
March 31,

 

 

2026

 

 

2025

 

 

(Amounts in thousands)

 

United States

 

$

40,394

 

 

$

47,752

 

Canada

 

 

102

 

 

 

130

 

India and Other

 

 

587

 

 

 

435

 

Total revenues

 

$

41,083

 

 

$

48,317

 

 

The Company does not disclose total assets by reportable segment, as such information is not regularly provided to the Company’s Chief Operating Decision Maker (“CODM”). A significant portion of the Company’s assets is utilized across both segments and is not specifically attributable to individual segments.